Low Insurance Penetration Weakens Ghana’s Insurance Sector
Ghana’s insurance industry is facing a growing credibility challenge as persistently low penetration undermines its ability to pay claims promptly. Member of Parliament for Abuakwa South, Dr. Kingsley Agyemang, warns that without higher participation, public confidence in the sector will continue to erode. To illustrate, he likened insurance to tossing a coin: “If you toss a coin a thousand times, the results even out. But with just ten tosses, the outcome could be skewed. Insurance behaves the same way—the larger the pool, the more predictable the claims, the steadier the payouts.” Tighten underwriting rules Delay claims payments Raise premiums Each of these measures feeds public mistrust, further discouraging people from buying insurance. “Nothing rebuilds confidence faster than prompt, transparent claims handling,” Dr. Agyemang emphasized. “The consumer is not consuming—and that is where the gap is. The media has the biggest […]